Accepting Contract Terms By Conduct

Accepting Contract Terms By Conduct

19:55 19 February in Blog, Keith Hardington articles

In a recent Court of Appeal case the Court had to decide whether a party was bound by a contract when he had not signed the contract document.

The Court decided that the mode of acceptance is for the benefit of the party making the offer and he is therefore entitled to waive those requirements.  The buyer did not accept in the prescribed form but his instructions for fixing the price, if not an acceptance of the contract terms, could be treated by the seller as a counteroffer to contract on those terms, which is accepted by confirming the price.

This was a 2015 case applying Maple Leaf Macro Volatility Master Fund v.  Rouvroy [2010] 2 All E.R. (Comm) 788 and it is a reminder that contract terms can be accepted by conduct even if a party has not signed the contract document.

K. Hardington

Keith Hardington

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